EXPO 2010: Tesco could lose shoppers by moving into mortgages, says Cornell

Jonathan Cornell, head of communications at First Action Finance, says Tesco could end up loosing customers if it turns them down for a mortgage.

Tesco is on track to launch mortgages in the first half of 2011 and is in the process of applying for its Financial Services Authority permissions.

But speaking at the Mortgage Business Expo, Cornell says: “It will be interesting to see how Tesco deals with those it has to decline for a mortgage.”

He says if somebody has been loyal and shopped at Tesco for a number of years it might make them think twice about shopping there if they are turned down for a mortgage.